What is Sanctum? Overview of the Liquid Staking Platform on Solana

1. What is Sanctum?

Sanctum is as a DeFi initiative specializing in Liquid Staking within the Solana ecosystem. It facilitates users in offering liquidity for SOL by employing Liquid Staking Tokens (LST). These tokens serve a dual purpose: they accrue rewards while also contributing liquidity to the associated trading pairs, thereby engaging in network security.

2. Key Features of Sanctum

Sanctum presents a protocol allowing the direct conversion of various xSOL tokens into SOL without needing to go through an Automated Market Maker (AMM). This resolves the challenge of fragmented liquidity and ensures stability for xSOL tokens, thereby fostering the sustainable growth of DeFi on the Solana blockchain.

Through the establishment of a reserve pool, Sanctum has devised a mechanism for swift and flexible conversion from Liquid Staking Tokens (LSTs) to SOL. This approach not only minimizes adverse effects but also maintains system stability and adaptability.

Moreover, Sanctum offers the capability to convert between different types of sSOL tokens and facilitates the conversion from SOL to any sSOL token. Additionally, it seamlessly integrates Liquid Staking functionality into its system in a flexible manner.

Sanctum employs a fee structure ranging from 0.01% to 3%, depending on the amount of SOL withdrawn from the reserve pool. It also imposes a fixed fee of 0.01% for transactions involving different LSTs. These fee arrangements promote the convenient and effective utilization of assets within Solana's DeFi ecosystem.

3. Product

3.1. Infinity

Infinity is a multi-Liquid Staking Token (LST) liquidity pool (LP) that facilitates users in providing liquidity for token pairs and exchanging LSTs within the pool.

The Total Value Locked (TVL) of Infinity currently stands at approximately 700,000 SOL, offering an Annual Percentage Rate (APR) of around 11.72%. Infinity supports a range of LSTs including INF, bSOL, bonkSOL, cgntSOL, compassSOL, driftSOL, among others.

3.2. Trade

Sanctum facilitates the acquisition and divestment of Liquid Staking Tokens (LST) using SOL or other LST variants. When users procure LST with SOL, they effectively engage in staking those tokens, consequently accruing supplementary rewards.

3.3. Stake Account

When users stake SOL with a chosen validator, such as picoSOL, a Stake Account is created. This Stake Account can be likened to a user's locked SOL account, inaccessible to the validator.

4. Team

Updating

5. Investors & Partners

Sanctum has successfully raised $6.1 million in funding, led by Dragonfly along with other investment funds such as Solana, Syndicate, Sequoia, CMS, JumpCapital, and DeFinance Capital.

6. Tokenomics

Updating

7. Roadmap

The project has successfully launched Liquid Staking Tokens (LST) and Infinity. Follow Theblock101 to stay updated on the latest developments regarding the project.

8. Project infomation

9. Conclusion

Sanctum is a Liquid Staking platform built on the Solana blockchain. Currently, there is limited information available about the Sanctum project. Theblock101 aims to provide you with all the relevant information about Sanctum. We hope that through this article, you have gained a better understanding of this project.

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